교육교부금 ‘내국세 20.79% 연동’, 폐지로 가닥…변동폭 줄여

The government is moving closer to abolishing the system that links local education funds to a certain percentage of domestic taxes. However, they are considering ensuring that the funds do not fall below the previous year's level if the newly calculated funds are lower. According to a comprehensive report by the Chosun Ilbo on December 12, the Planning Agency and the Education Ministry are working on final adjustments to the revised budget plan, which will apply the new method proposed by the Planning Agency.

The current method of linking funds to 20.79% of domestic taxes has been criticized for causing inefficiencies in education funding due to declining student numbers. The new method will incorporate the previous year's funds as a baseline and take into account the average growth rate of the economy and changes in the student population over the past three years.

If the newly calculated funds are lower than the previous year, a floor will be set to ensure they do not fall below that level. The old law set the education fund at 20.79% of domestic taxes plus a portion of the education tax. The revised plan will maintain the same percentage increase in funds, even if tax revenues increase significantly due to factors like the semiconductor boom.

Conversely, if funds decrease due to economic downturn, the previous year's level will be maintained to prevent a sharp drop in education funding. The government is also considering setting aside a separate account for "education and human resources" in the Future Development Fund to address funding gaps in areas like early childhood education and higher/lifelong education.

However, the primary use of the existing education budget is not transparent for primary and secondary education. Next week, the ruling party and the government plan to hold an undisclosed negotiation on the Future Development Fund Law and the education budget revision plan, with a target to finalize them by early next month.